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Germany's Kohl Approves
Cuts Valued at $16.45 Billion

a Wall Street Journal Staff Reporter

Updated April 26, 1996 12:01 a.m. ET

BONN -- Chancellor Helmut Kohl's ruling coalition agreed on a 25-billion-mark ($16.45 billion) budget-cutting program, which would reduce sick pay, raise the retirement age for women, cut disability and unemployment benefits and make it easier for German companies to fire workers.

Mr. Kohl published a letter in Germany's mass-circulation daily Bild Zeitung to mobilize support for the measures, saying the cuts were crucial if Germany is to stay internationally competitive and create jobs. His appeal came a day after...